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Last Week’s Top MLP Gainers: Calumet and More

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Calumet Specialty Products Partners

Calumet Specialty Products Partners (CLMT), a downstream MLP involved in the production of specialty fuels, was the top MLP gainer last week. It rallied 14.1% following its strong 4Q17 earnings announcement. The partnership posted adjusted EBITDA (earnings before interest, tax, depreciation, and amortization) of $60.1 for 4Q17, compared to $27.7 million in 4Q16, which represents a YoY adjusted EBITDA growth of 117%. For 2017 overall, the partnership posted EBITDA growth of 113%.

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The partnership expects the strong earnings momentum to continue in 2018 as well. According to Tim Go, CLMT’s CEO, “As we look forward, we need to carry the momentum we have generated into 2018 and beyond. We remain committed to driving further self-help across our portfolio and have set a 2018 target to realize an additional $40 to $50 million in Adjusted EBITDA.”

CVR Refining

CVR Refining (CVRR), another downstream MLP, was the second-biggest MLP gainer last week. CVRR ended the week 12.0% higher. Despite the recent gains, CVRR has lost 15.4% since the start of this year. The partnership is among the MLPs with the highest distribution yields. For details, see Is CVR Refining’s 14% Yield Really Attractive?

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CVR Partners

CVR Partners (UAN), an MLP involved in the production of nitrogen fertilizers including urea ammonium nitrate, was the third-highest MLP gainer last week. It rose 7.8%. CVR Partners’ rally last week could be due to its rating upgrade and the upward revision of its target price. We’ll look more into this topic in a later part of this series.

Other top MLP gainers

Foresight Energy (FELP), Hi-Crush Partners (HCLP), Plains All American Pipeline (PAA), Cheniere Energy Partners LP Holdings (CQH), Genesis Energy (GEL), Legacy Reserves (LGCY), and Crestwood Equity Partners (CEQP) were among the top MLP gainers last week.

In the next part of this series, we’ll look into last week’s worst MLP performers.

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